I wanted to address the question how to save money on car insurance. I hear it all to often, (not from my clients of course because I already know that they have the best value), but I did hear from two of my clients this week that they read an article or advertisement in a local paper that people should rewrite their auto insurance every year.
This is not the advice I would give. I think, as a Licensed Property & Casualty Insurance Agent in New York, that there is something to be said for longevity. There really is a loyalty or longevity discount!! Do not, I repeat. Do not rewrite your insurance every year!
Here are SIX legitimate ways to save on your New York Car Insurance:
No Tickets: Ok I think this is a given but if you want the best insurance rates be the best possible driver you can be. Count to 3 at stop signs, look both ways. Be sure there is appropriate stopping distance between you and the car in front of you. Don’t speed, etc. Think back to the days of reading the DMV manual before you took your written road test.
No Accidents: I think this goes hand and hand with number one, but accidents and claims affect the price you pay for insurance in New York. Comprehensive claims, which include a broken windshield or you hit a deer, don’t make the cost of your insurance go up, but the number of claims you submit affect you. You could be cancelled for too many and then you will pay more with the next company. Collision claims do affect the price you pay. Your insurance will go up and will count against potentially for 3 years.
Take The Defensive Driving Course:This course, which we offer on our website is less than $30 to take, and saves you 10% on the liability and collision portion of your insurance for 3 years. If you have 3 vehicles and 3 drivers and you all take it, that’s HUGE. It will definitely pay for itself in the first year.
Multi-Vehicle: It is less expensive if you have more than one vehicle. With some companies if you have an ATV or Snowmobile you can add that to you personal auto policy and save.
Multi-Policy: Write your home insurance or ATV or Snowmobile with the same company you have your auto if possible. If you don’t own a home get a renter’s policy. With some companies the savings is so much from this that you are getting the renters or ATV or Sled policy for FREE and your getting the extra protection you need.
Credit: Your credit plays a role in the price you pay for insurance. Get a copy of your credit report and try to clear up any negative items. Set up bills including insurance on auto-pay. This gives you a DISCOUNT and helps to be sure bills are paid on time.
Pay Plans: Pay in full usually provides the best discount. it can be a considerable savings. If that is not an option, probably EFT is next best so you avoid installment fees. Usually every time an insurance company sends you a bill they charge a fee on top of your auto insurance premium.
Lastly, try to get a 12 month policy instead of 6 and stay with the carrier you are with! We automatically shop around our personal clients every 3-5 years. There is always a question on the application ‘number of years with current carrier’. Sometimes 5 is the magic number of years to get you the best rate when re-quoting.
I truly believe the 8 ways above will really provide some savings for you. If you have any questions or need more information, please do not hesitate to contact me.